After China, India is the second largest producer of cement in the world. Current production capacity is around 370 MT which is expected to grow to 550 MT by FY 2020, according to Ministry of External Affairs, Govt. of India
Housing Industry creates maximum demand of cement after the infrastructure sectors. Government is working on housing for all by 2022. Infrastructure projects are getting cleared at a faster rate. Many highways will be built with cement concrete.
Cement sector has underperformed in the last couple of years. This is quite cyclic sector. The construction activity slows down in rainy seasons and increases in the other seasons.
Lets check out what the charts are saying about top cement stocks.
1.Ambuja Cement CMP 205
Stock is forming a hammer candlestick on the monthly chart at the lower trendline support zone of 180
2. ACC CMP 1350
ACC forming similar kind of pattern like Ambuja support at 1200
3. Mangalam Cement CMP 195
180-190 crucial support zone for the stock
4. JK Lakshmi Cement CMP 326
Stock is forming bullish flag pattern on the monthly chart support at 300. Any weekly close above 370 will be flag breakout
Caution: Charts are for information purpose only. Not any recommendation of trading or investing. Readers should do their own research or consult their financial advisor.